GST New Structure 2025: Maruti, Mahindra, Tata and Honda rates fall after GST cut, know the new prices
GST 2.0 has seen a decline in the prices of cars and two-wheelers. The GST on small cars has been reduced from 28% to 18%. Models from Maruti Suzuki, Mahindra, Tata, Toyota, and Honda have become significantly cheaper. Premium cars and SUVs will now be taxed at 40%. This change will prove to be a boon for customers and the auto sector.
GST Cut 2.0: With the implementation of GST in India on September 22, the government has taken a major step for the auto sector. Following the GST Council decisions, buying cars and bikes has become easier than ever before.
Under the new system, the tax on small cars has been reduced from 28% to 18%, while larger vehicles and luxury SUVs will now be taxed up to 40%. This change is being called the GST two-tier structure.
Impact on Maruti Suzuki Cars
The country's largest automobile company Maruti Suzuki has also given relief to its customers.
Alto K10 is now available for ₹40,000 cheaper.
The prices of Maruti Suzuki WagonR, Swift and Baleno have been reduced by ₹50,000 to ₹60,000.
The family favourite Maruti Suzuki DZire is now available at a price reduced by up to ₹61,000.
In the SUV segment, benefits of up to ₹1 lakh are available on Fronx and Brezza.
At the same time, the premium MPV Invicto has been reduced by up to ₹ 2.25 lakh.
It is clear from this that new car prices after GST rate cut are now fitting better in the budget of common buyers.
Cars from other companies
Mahindra Scorpio N and XUV700 have been reduced by ₹ 1.40 lakh to ₹ 1.45 lakh.
Tata Nexon is now cheaper by up to ₹1.55 lakh.
There will be savings of more than ₹3 lakh on Toyota Fortuner and Legender.
The Range Rover 4.4P SV LWB has the biggest gain among luxury cars, becoming cheaper by around ₹30.4 lakh.
That is, new car prices have brought big changes not only in budget cars but also in the luxury segment.
two-wheeler market
98% of two-wheelers in India have engines less than 350cc. Here too, customers will directly benefit from the GST rate cut.
The Honda Activa 110 has become cheaper by around ₹7,800.
There is a benefit of around ₹7,400 on Honda Shine 125.
Honda Unicorn and SP160 are now available at a price reduced by up to ₹10,000.
At the same time, more than ₹ 18,000 has been reduced on the CB350 series.
This will provide great relief to the youth and middle class families buying bikes for the first time.
New GST structure: The government has clarified that in the new system
Small cars (petrol up to 1200cc/diesel up to 1500cc, length less than 4000mm) will be subject to GST at 5% and 18% rates.
Big cars and SUVs will now be taxed at 40% GST on luxury items.
Whereas in other categories, provisions like GST tobacco 28% cess will also continue.
This GST reform India is not just limited to reducing prices, but it is being considered a big step towards GST simplification and GST indirect tax reform.
Impact on customers
The new GST slabs will particularly benefit middle-class families. Small cars and popular bikes are now cheaper than before. This is expected to boost auto sector sales. Experts say this GST business impact will be positive in the long run.
Overall, the GST update in India and the GST new structure 2025 have made buying cars and bikes easier. Whether you're looking at Maruti Suzuki cars or luxury SUVs, price drops across every segment will now lighten your budget a little more.